Canadian Mortgage Payment Calculator
Use this mortgage payment calculator Canada page to estimate the monthly payment on a Canadian mortgage. Enter a home price and down payment, or switch to mortgage amount only if you already know how much you plan to borrow.
How to use this Canadian mortgage payment calculator
Start with the home price and down payment if you are comparing purchase scenarios. If you already know the amount you plan to borrow, switch to mortgage amount only. Then enter the interest rate, amortization, and payment frequency you want to test.
The calculator updates instantly, so it is useful for quick comparisons. For example, you can compare a 10% down payment with 20%, or see how a 25-year amortization differs from 30 years.
What this calculator includes
- Estimated monthly mortgage payment
- Regular bi-weekly and accelerated bi-weekly payment estimates
- Mortgage amount after down payment
- Estimated total interest over the amortization
- Estimated total mortgage payments over the amortization
- Estimated closing costs using a simple 1.5% of home price assumption
- Estimated cash needed for down payment plus closing costs
The payment formula converts the annual mortgage rate into an effective monthly rate using semi-annual compounding, then applies the standard amortizing loan formula. A lender's exact payment can still differ because of product terms, rounding, mortgage default insurance, prepayment settings, fees, and provincial costs.
Methodology: how this calculator works
This calculator uses the values you enter. It does not pull live mortgage rates or decide whether you qualify for a mortgage.
- Mortgage amount: home price minus down payment, or the mortgage amount you enter directly.
- Effective monthly rate:
(1 + annual rate / 2)^(2 / 12) - 1. - Monthly payment:
principal x monthly rate x (1 + monthly rate)^months / ((1 + monthly rate)^months - 1). - Regular bi-weekly payment: monthly payment x 12 / 26.
- Accelerated bi-weekly payment: monthly payment / 2.
- Total interest estimate: monthly payment x number of months minus mortgage principal.
- Closing-cost estimate: home price x 1.5%.
The semi-annual compounding conversion is used because Canadian mortgage rates are commonly quoted on that basis. If your mortgage contract or lender uses a different convention, use the lender's payment as the source of truth.
What this calculator does not include
This is a mortgage payment estimator, not a full affordability calculator. It does not include property tax, home insurance, condo fees, utilities, lender fees, land transfer tax, maintenance, or mortgage default insurance.
Those costs matter. A mortgage payment can look manageable on its own, but the real monthly cost of owning a home is usually higher.
How down payments affect your mortgage
A larger down payment reduces the mortgage amount, which usually lowers the payment and total interest. It can also change whether mortgage default insurance may apply.
If your down payment is less than 20%, mortgage default insurance may apply. This calculator shows a warning, but it does not calculate the premium. If you are saving for a first home, you may also want to read about the First Home Savings Account and how an FHSA compares with a TFSA.
If mortgage default insurance applies, the premium can often be added to the mortgage instead of paid upfront. That can increase both your mortgage balance and the total interest you pay over time. The exact premium depends on your down payment size and mortgage details, so confirm the current amount with your lender or mortgage insurer. CMHC explains how mortgage loan insurance premiums are calculated.
5% vs 10% vs 20% down payment
The down payment presets let you quickly compare common scenarios. A 5% down payment keeps more cash available, but it means a larger mortgage and likely mortgage default insurance. A 20% down payment usually avoids default insurance, but it requires more cash up front.
The right comparison is not just payment size. Also look at cash needed, emergency savings, closing costs, and how long it will take to build the down payment.
Does this include property tax, condo fees, or insurance?
No. The result is only an estimate of the mortgage payment and a simple closing-cost assumption. Property tax, home insurance, condo fees, utilities, and maintenance can materially change the monthly cost of owning a home.
Mortgage payment examples
| Scenario | Home price | Down payment | Mortgage amount | Rate | Amortization |
|---|---|---|---|---|---|
| Default example | $750,000 | 20% | $600,000 | 4.25% | 25 years |
| Lower down payment | $750,000 | 10% | $675,000 | 4.25% | 25 years |
| Longer amortization | $750,000 | 20% | $600,000 | 4.25% | 30 years |
Using the calculator's semi-annual compounding method, the default $600,000 mortgage at 4.25% over 25 years estimates a monthly payment of about $3,238 and total interest of about $371,388. A $675,000 mortgage with the same rate and amortization estimates about $3,643 per month. A $600,000 mortgage over 30 years estimates about $2,939 per month, but total interest rises to about $457,898.
Sources and assumptions
- The mortgage-rate conversion is based on the common Canadian mortgage convention of annual or semi-annual interest calculations. See section 6 of Canada's Interest Act.
- For a government mortgage calculator comparison point, see the Financial Consumer Agency of Canada mortgage calculator.
- Mortgage default insurance rules and premium tables can change. CMHC explains mortgage loan insurance costs.
Last reviewed June 3, 2026. Default assumptions: $750,000 home price, 20% down payment, 4.25% rate, 25-year amortization, and a simple 1.5% closing-cost estimate.
FAQ
How do I calculate my monthly mortgage payment in Canada?
Use the mortgage amount, interest rate, amortization, and payment frequency. This calculator converts the annual rate into an effective monthly rate using semi-annual compounding, applies the standard mortgage payment formula, then estimates bi-weekly options from the monthly amount.
What interest rate should I use?
Use the rate you are comparing from a lender, broker, or pre-approval. If you are just testing scenarios, the default 4.25% is only a sample input and should be changed to match the rate you want to estimate.
Does this calculator include mortgage default insurance?
No. It shows a warning when the down payment is below 20%, but it does not calculate a mortgage default insurance premium.
What happens if I put less than 20% down?
A down payment under 20% may require mortgage default insurance. It also means you borrow more, so your payment and total interest are usually higher.
Is a 25-year or 30-year amortization better?
A 25-year amortization usually means a higher payment but less interest over time. A 30-year amortization can lower the payment, but it often increases total interest.
Does this tell me how much mortgage I qualify for?
No. This is a payment calculator, not a mortgage qualification or affordability calculator. Qualification depends on income, debts, credit, down payment, property costs, lender rules, and stress-test requirements.
